$3,412/Month Gross. $-704/Month Profit.
That is the reality of a 2BR Airbnb in Nashville at $165/night and 68% occupancy.
Most hosts show their gross revenue and call it income. Here is the actual P&L:
| Item | Monthly |
|---|---|
| Gross Revenue | $3,412 |
| Airbnb Fee (3%) | -$102 |
| Cleaning ($120 × 5.2 turns) | -$624 |
| Supplies | -$150 |
| Utilities (electric, water, internet) | -$350 |
| Property Management (20%) | -$662 |
| STR Insurance | -$200 |
| Property Taxes | -$238 |
| Maintenance (5%) | -$171 |
| Furnishing Reserve (3%) | -$102 |
| NOI | $813 |
| Mortgage ($228K @ 7%) | -$1,517 |
| Cash Flow | -$704 |
The Expenses Nobody Talks About
Cleaning: $120-$180 per turnover, 4-6 times per month. This single line item costs $480-$1,080/month — and does not exist for long-term rentals.
Furnishing: A 2BR needs $8K-$15K upfront before the first guest. Plus 3-5% of revenue for ongoing replacement.
Management: Professional STR management charges 20-30%, not the 8-10% for long-term.
STR Insurance: 2-3x the cost of standard landlord policy.
When Does Airbnb Beat Long-Term?
The break-even: Airbnb gross must exceed 1.8x the long-term rent.
Nashville LTR: $1,800/month. Airbnb gross: $3,412 = 1.9x. Barely above break-even — and after expenses, LTR actually wins.
Airbnb works best in vacation destinations (Smoky Mountains, Scottsdale, Gulf Shores) where nightly rates are $200+ and long-term rents are low.
Free Calculator
Airbnb STR Calculator — compare STR vs LTR income side by side.
Full guide: How much can you make on Airbnb?
If your Airbnb only works because you self-manage and ignore furnishing costs, it is not a business — it is a part-time job with extra tax paperwork.
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